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Stora Enso to centralise the use of recovered fibre-based packaging in Finland at Pori

Closure of recycling plant at Varkaus and core plant at Pori planned - temporary newsprint layoff plan at Varkaus

Stora Enso is planning to centralise the use of recovered fibre-based packaging in Finland at the Corenso Pori coreboard mill. A recycling plant investment at the Pori coreboard mill will enable all the used packaging collected from households in Finland to be utilised at Pori. This includes used beverage cartons collected in Finland. Permanent closure of the recycling plant at Varkaus at the end of the third quarter of 2010 is planned. The Ecogas gasification plant associated with the Varkaus recycling plant will continue to operate. The Varkaus recycling plant employs 15 people.

As a part of the restructuring, Stora Enso's wholly-owned subsidiary Corenso also plans to centralise core production in Finland at Loviisa and Imatra, and permanently close down the core plant at Pori in the third quarter of 2010. Demand for cores has drastically decreased in Finland in recent years due to paper machine shutdowns and production curtailments. The Pori core plant employs 15 people.

"Recycling recovered fibre-based packaging at the same site as a board machine using the material is logistically efficient and reduces costs significantly. The plan to centralise core production at Loviisa and Imatra would also yield significant cost savings and improve Corenso's operating conditions in difficult and uncertain markets," says Sampo Antti, head of the Corenso business unit, explaining the plans.
There are no major financial provisions related to these measures.

Varkaus newsprint production curtailed until further notice Stora Enso plans to curtail newsprint production on Varkaus paper machine 2 (PM2) with temporary lay-offs until further notice due to weak market conditions. As a part of the plan, newsprint production at Varkaus would be concentrated on PM 4, improving its operating rates. The total number of employees affected by the co-determination negotiations concerning temporary lay-offs is around 90.

The plans are subject to co-determination negotiations with the employee representatives. Any decision on closures and other measures will be taken later when the co-determination negotiations concerning the units have been undertaken and concluded as required.

For further information, please contact:
Concerning Varkaus newsprint production curtailment: Reino Panula, Varkaus Mill
Manager, tel. +358 2046 32740
Concerning Corenso: Sampo Antti, Senior Vice President, Corenso Business Unit,
tel. +358 40 589 2409
Päivi Kauhanen, Director, Communications in Finland, tel. +358 2046 21292

ENESSCO S 1000 is an advanced Production Enhancement technology that maximizes Paper Machine and Converting production efficiencies. ENESSCO S 1000 is a worldwide patented blend of surfactants and inorganic chemicals. This technology effectively modifies surface-active forces between the Fiber and the Wax & Stickies adhering to the fiber. Stickies & Wax are effectively liberated from usable fiber.

Product Fact Sheet:

* Patented Technology Effectively Releases and Stabilizes Contaminants, Liberating Fiber
* Substantial Yield Increases due to Improved Screening and Cleaning Efficiency
* Improved Stickies & Wax Removal resulting in Higher Quality Furnish
* Control of Process Water "Micro Stickies" improves Paper Machine & Converting productivity
* Low Cost control of Wire, Felt, and Dryer Fabric deposition
* Removal of Wax/Contaminants results in improved Sheet Appearance, Strength and Slide Angle
* FDA Approved, Non-Hazardous/Non-Toxic, Environmentally friendly!

ENESSCO S 1000 treated contaminants are more efficiently removed by mechanical screens, centri-cleaners, and water clarification equipment. This results in reduced levels of Macro/Micro stickies and wax in the processed pulp. Surface passivation of remaining contaminants inhibits system wide deposition.

ENESSCO S 1000's reduction and control of contaminates leads to cleaner forming sections, press felts and dryer section fabrics. Stock Preparation yield improves substantially as screening and cleaning unit operations are able to disseminate valuable fiber from contaminants more efficiently. Greater production efficiencies, improve quality and reduced downtime are the primary benefits of this unique patented technology.

Wax removal by ENESSCO S 1000 results in significant sheet quality, slide angle and strength test improvements. Cost savings are realized through the increase in premium production, cull reduction & reduction of chemicals.

The use of eliminating Thermal Dispersers will greatly reduce the overall cost of mill operations and not only save steam but energy.

Use of a lesser grade of furnish such as DLK and still meeting all specifications will provide mills paybacks of up to 3 : 1

Application:
Brown Grades, News Print:
Reduce stickies
Eliminate Wax spots
Increase production up to 8%
Eliminate Machine Deposition
Eliminate the need for Thermal Disperser
Improve white water quality
Reduce overall mill energy cost

The proper dosage rate for ENESSCO S 1000 depends on quality of recycled furnish and final pulp specifications. A normal feedrate is 0.7-0.9 dry lbs. per ton of recycled fiber at the repulper. Product is delivered in dry or liquid form and can be packaged in repulpable bags sized for batch applications. Continuos operations typically use liquid product.

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